Judgment

SHAH, J. : Respondent in this appeal is the owner of a building used as a cinematograph theatre. By a registered deed, dated December 23, 1960, the appellant obtained a lease of the theatre at a monthly rental of Rs. 1,801. The appellant applied under S. 11 of the Saurashtra Rent Control Act 22 of 1951-hereinafter called the Act -for an order fixing the standard rent of the theatre. He submitted that the rent stipulated to be paid under the lease was "excessive, exorbitant and improper" and that the standard rent of the theatre, having regard to its situation and size and the amenities provided therein, could not exceed Rs. 350 per mensem. The respondent by his written statement submitted that the rent stipulated under the lease was reasonable.

2. The Court of First Instance fixed the standard rent of the whole theatre at Rs. 1,030-12-0 being the one-twelfth of the gross return at 6 per cent on the cost of construction of the theatre and the cost of furniture installed therein. But the learned Judge held that the respondent had not delivered to the appellant possession of the basement and of a part of the building which was intended to be used for a restaurant, and on that